According to World Bank President David Malpass, a “fifth wave of debt crisis” is engulfing the entire planet “and demanded more assistance for the struggling nations. According to him, the bilateral and private debt service payments of nearly $44 billion will be due in 2022 alone.
I am concerned about the debt levels and the particular countries, he declared. Some of the world’s poorest nations will have to pay more in debt service payments from bilateral and corporate debt in 2022 alone than they could ever hope to receive in foreign aid.,”
Separately, World Bank President David Malpass stated to reporters on Friday that India has been a pioneer in digitalisation that strengthens and widens the social safety net. Malpass asserts that India, like other developing nations, is affected by rising interest rates in the global economy, inflation, and the effects of climate change, as seen most recently by flooding. However, India was able to widen its social safety net throughout the COVID-19 crisis.
According to him, the nation’s poor have more money in their pockets than was indicated by the World Bank’s most recent report on global poverty. He noted that the efficiency of social safety nets is crucial when it comes to reducing poverty in other regions of the world. The World Bank collaborated closely with India to create a focused social safety net.
Malpass made reference to a recent conference at the UN that the World Bank and other organisations co-hosted. He claimed that digitalization strengthens the social safety net and is crucial for developing nations to keep up with technology. He claimed that India had been among the pioneers in this. Malpass responded to a query regarding India assuming the G-20 leadership in December by stating that there is a potential focus on debt.
